Check Out For These Consumer Staples Stocks In The Stock Market Today
Given the current volatility in the stock market today, turning toward consumer staples stocks could be a viable play for investors looking to play it safe. This is because consumer staples stocks mainly consist of companies that offer products that are essential in our day-to-day lives. For example, dry food, toiletries, and other necessities. Even when a pandemic and war is happening at the same time, demand will always exist for staple goods. Hence, given the current events going on in the world, it wouldn’t be surprising to see a number of investors making a list of top consumer staples stocks to buy.
When thinking of consumer staples, Procter & Gamble (NYSE: PG) often comes to mind. The multinational consumer company has its hands in an enormous range of products including skincare, grooming products, and many others. And recently, it just filed a patent to develop a water-soluble pouch that could serve as a more sustainable format of personal care. Elsewhere, investors could be looking at Estee Lauder Companies (NYSE: EL) which reported impressive results last month. Notably, the company recorded net sales growth in every region and product category during the quarter. Furthermore, its online business is performing rather impressively as well, making up 38% of total sales in the Americas. With all that said, here are four other top consumer staples stocks to watch in the stock market today.
Consumer Staples Stock To Buy [Or Sell] Today
- Dollar General Corporation (NYSE: DG)
- Mondelez International Inc. (NASDAQ: MDLZ)
- Target Corporation (NYSE: TGT)
- Tyson Foods Inc. (NYSE: TSN)
Kicking off our list of consumer staple stocks today is Dollar General. For the most part, the company operates a chain of variety stores that span across the U.S. With over 80 years of delivering value for its consumers, the company offers everyday products that range from food to health and cleaning supplies. Today, Dollar General has over 18,000 stores and sells products from some of the country’s most-trusted manufacturers. Just yesterday, the company reported its fourth-quarter earnings.
For starters, net sales for the quarter came in at $8.7 billion for the quarter, an increase of 2.8% from the prior year which came in at $8.4 billion. Dollar General attributes this growth to positive sales contributions from its new stores. The company also reported a net income of $597.4 million for its final quarter of 2021. Apart from this, Dollar General provided an optimistic outlook for the year as well. Namely, it expects sales and same-store sales to grow by about 10% and 2.5% respectively. The company also forecasts earnings per share to grow within the range of 12% to 14%. Given the positive outlook, would you invest in DG stock?
Following that is Mondelez. Essentially, it is a company that manufactures and markets snack food and beverage products. Its brand portfolio includes the likes of famous snack brands such as Nabisco, Oreo, Cadbury, Milka, and Toblerone to name a few. Besides that, it manufactures Trident gum, Halls candy, and Tang powdered beverages. Mondelez has operations in about 80 countries and sells its products in over 150 countries. Last month, Mondelez announced that it has completed the $23 million expansion of its Oreo cookies production line in Cikarang, Indonesia.
The expansion aims to significantly increase its production capacity to meet a growing local and export demand across Southeast Asia and the broader Asia Pacific and Middle East Region. Moreover, with this expansion, the Cikarang plant becomes one of Mondelez’s largest cookie and cracker facilities in the world. In addition to the regular Oreos, the plant makes Mini Oreos and Ritz crackers as well. According to Glenn Caton, president of Southeast Asia for Mondelez, the company’s investment reflects the strong demand and growth for its Oreo biscuits both in Indonesia and across Southeast Asia. With this completed expansion in mind, is MDLZ stock worth watching?
Another top name to know in the consumer staples industry is Target. The general merchandise retailer offers a range of food assortments that includes perishables, dry grocery, dairy, and frozen items. In addition to its physical stores, customers can also assess these items through its e-commerce portal. For a sense of scale, Target has almost 2,000 stores that serve millions across the country. It also owns Shipt and Roundel, with Shipt being a delivery service company while Roundel is a media company.
At the start of the month, Target reported its fourth-quarter financials. Diving in, comparable sales for the quarter grew by 9.9% year-over-year. And more than 95% of Target’s fourth-quarter sales were fulfilled by its stores. The company also reported a record high earnings per share of $3.21 despite significant investments in team, price, and inventory availability. For its fiscal year 2022, the company expects low- to mid-single-digit revenue growth, an operating margin rate of 8% or higher. It also expects quarterly year-over-year profit performance to generally improve as the year progresses. Given the solid quarter, should you buy TGT stock?
[Read More] Top Stock Market News For Today March 18, 2022
Closing off our list today is Tyson Foods, a food company that produces a range of frozen and refrigerated food products. It operates a portfolio of products and brands including Tyson, Jimmy Dean, Hillshire Farm, Ball Park, Wright, Aidells, and State Fair. Apart from that, the company also has an integrated operation that consists of breeding stock, contract farmers, feed production, processing, and transportation of chicken and related products. In February, Tyson announced its fiscal first-quarter financial report.
Impressively, its GAAP earnings per share skyrocketed to $3.07, signaling an increase of 140% year-over-year. Meanwhile, its total sales increased to $12.9 billion, up by over 24% compared to last year. Donnie King, the CEO remarked, “Our performance reflects the resilience of our multi-protein portfolio even with continued volatility in the marketplace. We remain committed to winning with our team members, winning with our customers and consumers and winning with excellence. We have the right team who are taking the right actions and as a result, we believe our future is bright.” All in all, the company’s performance shows the resilience of its multi-protein portfolio despite all the marketplace volatility. With that said, would you consider adding TSN stock to your portfolio today?